Analysis of Corporate Finance Analysis of countermeasures discussion

Paper Keywords: Financial Analysis of the problem suggested
Abstract: The awareness of the existence of Financial Analysis issues, technical issues, the quality of financial analysts, Financial Analysis of the results of the use of four aspects of the analysis, and the above analysis of the problem accordingly put forward some countermeasures and suggestions.  

1 The current problems in Financial Analysis 

Awareness  1.1
(1) insufficient understanding of the role of Financial Analysis, analysis of the purpose is not clear. At present, only concerned about some of the leading enterprises of production management, marketing management, Financial Management, neglect, or only pay attention to changes in sales and profit growth, but not real analysis of the Financial Management and business management as an important means do not realize that financial analysis is an important method of business management, which are not good at financial analysis through the overall strengthening of enterprise management, the impact of the financial analysis carried out its role play in the financial analysis purposes, often not in order to strengthen enterprise management, improve management, but stressed that to meet the leadership needs or meet the requirements of higher authorities. 
(2) their understanding of financial analysis is too one-sided, ie only the Financial Management of financial analysis as a part of the calculation processing is only a number of indicators of financial data or to provide leadership, etc., these are very narrow in fact financial analysis throughout the whole process of Financial Management, financial analysis and not simply the financial sector of the thing, but a comprehensive systems engineering, by the finance department with production and operations departments, the various production operations in operations in the analysis of various situations. 
 1.2 technology
(1) financial analysts rely on data limitations, the loss of a reliable basis for financial analysis in practice, for various reasons, the accounting statements of enterprises as the core of the accounting data are often man-made package, which includes both the accounting staff without violating the accounting standards for financial statements under the amendments, including some companies ignore the accounting rules for their own interests to provide false information, thus making the analysis based on the results of a large extent with the objective reality does not match, so that the financial analysis meaningless. 
(2) Financial analysis is too one-sided, the object of analysis is too narrow, often from one extreme to another, mainly in: ① focus on objective analysis, subjective analysis of light; ② re-effectiveness analysis, lessons learned analysis of light; ③ re-post analysis, to predict the light; ④ heavy profit and loss analysis, financial analysis of light; ⑤ regular analysis of heavy, light thematic analysis; ⑥ total assets in the analysis focus on the expense of asset quality; ⑦ focus on the profitability of the surface analysis, while ignoring long-standing Analysis of hidden losses. 
(3) the lack of financial indicators to build the internal logic. Financial ratios should pay attention to the construction of molecules, the logical relationship between the denominator, but during the current financial analysis, financial analysts with little attention to this aspect of logic, not with the production and operation of some of the features of construction in line with the actual situation of the company's financial indicators, resulting in some of the results of the analysis can not reflect the actual situation of enterprises. 
(4) there is no in-depth financial analysis of actual, in a formulaic, superficial state some corporate financial analysis did not penetrate into financial balance and financial results to various business activities, but the figures talk about figures, so that the financial analysis into a form , the number of instructions; although it was suggested that a number of issues and improvement measures, but did not work realities, so this analysis is difficult to play on the actual business activities guide. 
(5) exhaustive, confuse, not to seize the principal contradiction. Financial analysis report range from which to analyze the project a lot, but in the comprehensive observation, mastery, based on the operating period should be the main issues for the focus of analysis, can not do everything, what the issues are trivial to write, but have not written a thorough. the information provided in financial analysis trivial, messy, difficult business decision-making measures also misses the point, so just right. 
1.3 quality of 
(1) Some financial analysts, financial indicators of the lack of a rational analysis of the financial analysis is to solve the problem itself is not the answer, but rather a process to identify problems, while our financial analysts conducting financial analysis, and results of the analysis is usually only some general standards for comparison, there is no analysis of these issues themselves, resulting in abuse of some standards. 
(2) the quality of financial analysts is not high enough and does not meet the requirements of corporate financial analysis now, Financial Management is moving in the direction of the development of strategic financial management, financial officers required to master not only the knowledge and methods of financial analysis, the enterprise comprehensive understanding of business activities, with financial analysis of the basic skills, but also has a wide range of knowledge and some financial staff is not high, lack the ability to improve financial analysis; some actual depth is not just sitting in the office to engage in financial analysis, financial analysis work which will inevitably affect the conduct and analysis of quality improvement. 
(3) do not understand the business situation, the lack of relationship between local and global grasp. Business activities and enterprise funds with changing business conditions, changes must be reflected in the funds, so to analyze the changes in enterprise funds, it must be familiar with business condition. In a lot of analysis, the funds tend to talk about change, do not speak the business activities of the fund change, to affect each other, one of the two economic issues isolated. For this situation lies in the lack of business finance staff understanding, can not be judged from the changes in liquidity problems in business and evaluate business performance.  Links to free download http://www.hi138.com 1.4 Financial results of the analysis of problems in practical use 
(1) the financial results of the analysis and practical application of line. Purpose of financial analysis is to identify the process of production and management problems, to provide a basis for decision-making, but many companies in the organizational strength to finally do the financial analysis, and did not results of the analysis will be used to improve business management. The result is a waste of the resources of the enterprise, but also to financial analysts have a sense of loss, thereby affecting the employees involved in improving business management initiative. 
(2) the use of financial analysis of the results easily from one extreme to another extreme. The production operation is multi-faceted, multi-faceted business conditions, and financial analysis of the results obtained should also be multi-faceted and some companies In the financial analysis for the improvement of enterprise management, the emphasis is often placed one aspect of the results, and less attention and consider the other side, the result is that businesses can use the results of financial analysis in decision-making, to enable enterprises to finally from one extreme in the escape, fell into the other extreme. 

2 Countermeasures 

(1) raise awareness of the importance of financial analysis, first, business leaders want the financial analysis as an important business management methods and tools to understand, in
Corporate financial analysis to establish a scientific system, and continuously improve business management by analyzing the level and secondly, to recognize the financial management to improve financial management, financial analysis is to play a role in the enterprise management the best way to make efforts to improve financial analysis to continuously improve the quality of the analysis, in order to improve management, increase economic efficiency and provide scientific and reliable basis. 
(2) Enterprises should establish a scientific system of financial analysis. To the system to regulate corporate financial analysis is regarded as a good move, although some companies have been established and financial analysis system, but is still not complete, first, in the enterprise should set up specialized financial analysis positions with specialized financial analysts; Second, the system should be clearly the purpose of financial analysis, tasks, clear goals and financial analysts responsibility; again, should be clear in the system the quality of the analysis requirements, whether the choice of methods, or indicators to determine the enterprise should be scientific and unified norms. 
(3) In-depth investigations and study financial analysis information to complete the report and fully prepared on the basis of investigation and research. Corporate financial officers to make full use of a variety of scientific analysis, to provide enterprises with well-founded, the explanatory power of the rich and constructive financial analysis. should often go to practice, after an investigation found weaknesses in operations and problems, analysis should be targeted, pragmatic and targeted, reflecting the issue straightforward. 
(4) to strengthen the analysis to predict and improve the use of funds results. Accounting Yaocong past the old post to reflect and monitor frame freed to carry out advance forecasts and decision-making. Decision-making is the core of enterprise management, relationship to the company's destiny. decision making from a scientific prediction. accounting personnel to use accurate data, scientific methods to make accounting forecasts, as a good corporate staff. 
(5) improve the quality of financial personnel, and constantly adapt to the requirements of financial analysis. As mentioned earlier, companies should set up specialized financial analysis positions, develop specialized financial analysts, we must pay attention to develop their basic financial analysis capabilities, as well as internal and external reporting of financial analysis and other data sources can be reasonably modified
Force, but also pay attention to develop their comprehensive analysis capabilities, full financial analysis in business management role. 

References
[1]  Xian-governance. Financial Analysis [M]. Dalian: Dongbei University Press, 2003.

[2]  Huangjun Chang. Enterprise Financial Management and Analysis [M]. Beijing: China Central Radio and TV University Press, 1995. Links to free download http://www.hi138.com